Austrim Gets Stronger
The Age
Tuesday June 30, 1998
The ever-acquisitive Mr Alan Jackson has added another unit to his stable of automotive-related businesses at Austrim with the purchase of Air Radiators.
Austrim's recently acquired National Consolidated division has acquired all issued shares in Air Radiators for $7.3 million.
The move further consolidates Austrim's position as a significant and growing supplier to Australia's $13.6 billion automotive industry.
Air Radiators makes and distributes industrial radiators, cooling systems, fans, air movement and heat transfer products. Its market includes trucks, heavy equipment and power generators. Its sales in 1996-97 topped $16.5 million.
The acquisition extends NatCon's Natra division market into the larger industrial radiator market in heavy equipment, including road construction and maintenance equipment.
The Natra business makes vehicle radiators, cooling systems and heaters, NatCons' Henderson's automotive division makes car seat components and foam inserts, and Austrim's CDA and Calum textile businesses are big suppliers of car seat covers.
The acquisition takes Mr Jackson a step closer to his stated objective of putting together a $2 billion diversified manufacturing group.
He said yesterday that NatCon had been eyeing off Air Radiators before his acquisition of NatCon earlier this year.
"It's a logical add-on to our existing business . . . and it fits perfectly with NCL objectives." Mr Jackson said.
"It's a complementary acquisition opportunity that NCL had identified pre our acquisition but they just didn't have the financial circumstances to take that opportunity.
"They knew the business, they knew it was perfect for sale at the right circumstances, but they couldn't pursue it."
Austrim shares yesterday closed 10 cents lower at $2.46.
© 1998 The Age
Share This